Our employees are our most valuable asset, and their safety is our responsibility. Our goal is for all employees to arrive home to their families safely, whether they work in manufacturing facilities, warehouses, R&D centers, labs, offices, or travel often in Company vehicles.

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Johnson & Johnson Environment, Health & Safety (EHS) Policy, supplemented by Environment, Health, Safety & Sustainability (EHS&S) Standards (the Standards), set the expectations for our health and safety efforts around the globe. Everyone—from the plant and field manager, to the production operator and sales representative—is responsible for workplace safety, which is overseen by the Vice President, EHS&S. Enterprise-wide safety performance is discussed with, and reviewed by, the Johnson & Johnson Executive Committee and the Board of Directors. See EHS&S Governance for more information on our management approach. We encourage, but do not require, third-party certification to the Occupational Health and Safety Assessment Series management system (OHSAS 18000).

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Students of Shallcross Primary School have fun learning about road safety, Durban, South Africa.

Photo Credit: Jackie Clausen

In 2015, Johnson & Johnson deployed the Safety Culture Roadmap across our internal Supply Chain to individuals and sites around the world. The Safety Culture Roadmap provides methods and tools for our facilities to proactively shape safety culture. Diagnostic assessments that examine leadership, safety education and awareness, as well as processes and habits, are conducted at our manufacturing and some R&D locations. Based on these assessments, the sites develop action plans to address areas of weakness, and initiate improvement activities. Such site "reflection assessments" are repeated every two years to measure improvements and provide organizations with insight into their culture's performance.

We also manage and track contractor safety. Large capital construction projects follow a formal safety strategy documented in a generic construction safety plan. In many markets, we continue facing a challenge of finding contractors who can meet our requirements.

As part of our traditional safety metrics, we track our Lost Workday Case (LWDC) rate, Serious Injury and Illness Case (SIIC) and Total Recordable Injury Rates (TRIR) enterprise-wide, and regionally. To shift our focus towards tracking leading indicators, we added two new metrics—Significant Good Saves1/100 employees, with a target of 1.0, and Good Saves/100 employees, with a target of 40. The Good Saves process serves to engage and activate employees and contractors in helping to manage and control risk. The process for follow-up on reported Good Saves currently takes place at site level, although tools are being developed to enable greater visibility of this information, including the number of Good Saves that have been closed. Closure includes investigation, corrective action implementation, and communication with and feedback to the originator of the Good Save.

To address risk related to driving, we launched SAFE Fleet over 20 years ago. SAFE Fleet targets sales and service staff who spend nearly half their work hours driving a company-owned/leased or car-allowance vehicle; it also applies to management personnel who are eligible to drive a company vehicle. SAFE Fleet leverages eight core elements to keep drivers and communities safe, including top-down management commitment, worldwide fleet safety standards, training and education, and communication and awareness, among others.

Most of our operating company manufacturing and R&D locations have formal joint management-worker health and safety committees. Our sales and service field employees are represented by Worldwide and Regional Champions and SAFE Fleet teams comprised of local business leaders in all four regions.

Where local collective bargaining agreements exist, requirements for working conditions, including health and safety, are typically incorporated into the agreements. These requirements may include personal protective and safety equipment, health and safety committees and their designated representatives, inspections, complaint processes and training. GRI 403-4

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In 2016, our manufacturing and R&D sites that completed diagnostic assessments in 2015 focused on action plan implementation. We expanded the Safety Culture Roadmap to additional R&D sites, logistics operations, commercial field operations, and offices with over 500 employees. In 2016, 33 percent of our manufacturing and R&D sites were third-party certified to Occupational Health and Safety Assessment Series.

We exceeded both of our GoodSaves2 targets in 2016, with a Significant Good Save rate of 1.06, and a Good Save rate of 94.86.

The Lost Workday Case (LWDC) rate remained flat, at 0.08. The leading causes of LWDC continued to be ergonomics and Slips, Trips and Falls, which amounted to 33 percent and 25 percent of our LWDC rate, respectively. We continued to implement our three-year plan developed to address the main sources of ergonomic injuries at Johnson & Johnson offices and in the field, customer logistics services, and acquisitions along with our manufacturing and R&D locations. GRI 403-2

Our Total Recordable Injury Rate (TRIR) fell both enterprise-wide and across all regions. Non-injury type statistics that are classified as “illness,” such as mental-stress cases, are included in our TRIR. We are saddened to have experienced one vehicle-related fatality and four partial-finger amputations in 2016.

The Serious Injury and Illness Rate (SIIC) dropped to 0.05 in 2016 from 0.069 in 2015. As in the previous years, in our SIIC definition we included conditions that put a greater emphasis on the illness side of the metric, such as hearing loss, disability lasting over 180 days, and surgery that addresses cumulative trauma. We do not track absenteeism at an enterprise level. Occupational disease also is not tracked, since these types of diseases are not prevalent in our workforce. We have extensive wellness programs for our employees; these are discussed in the Healthy Workforce section of this report. GRI 403-2; 403-3

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Our contractor LWDC rate and TRIR fell in 2016, from 0.18 to 0.13 and from 0.60 to 0.22 respectively. No fatalities occurred in 2016. GRI 403-2 In 2016, we increased contractor oversight, appointed a dedicated global construction safety director, created a steering team to oversee large construction projects, and assigned additional oversight for smaller construction projects.

Our Crashes per Million Miles rate increased from 6.01 to 6.03. In 2016, greater emphasis was placed on preventing serious injuries, and we ended the year with an Injury Per Million Miles rate of 0.08,3 a slight increase over 2015 but still below our global target of 0.09.

Our health and safety non-compliances fell from 398 in 2015 to 182 in 2016 and we paid no fines for health and safety violations. See the Ethics & Compliance and Data Summary sections of this report for five-year data trends.

In 2016, we expanded the use of our telematics coaching programs from the United States and Japan to Mexico and Portugal, with a focus on our high- and medium-risk drivers and new hires. Over 3,750 drivers were involved in telematics during the year. We also prepared the expansion of the Virtual Risk Manager platform that we use in North America to the Europe, Middle East and Africa Region.

We continued to stay involved in two safety-related community outreach projects: Helmets for Kids in Vietnam and Safe Schools in South Africa. In 2016, Johnson & Johnson donated approximately 5,300 helmets to 21 schools in Vietnam. In Durban, South Africa, Janssen continued its sponsorship of the eThekwini Safe Routes to School. The project was implemented in seven primary schools in Durban, and focused on training teachers to help children build skills for getting safely to and from school. In addition, the project supported school travel route risk assessments, which contribute to strengthening the local stakeholder capacity to improve road infrastructure around the schools, including, for example, through installation of cross-walks and traffic-calming measures.

1We define a Good Save as an accident that almosthappened or an environmental mishap that almost occurred, including near misses, unsafe conditions identified and unsafe behaviors observed that could have resulted in an injury/illness, environmental impact or property damage. A significant Good Save is one determined to have prevented a high risk occurrence.

2 Includes data from all manufacturing, R&D, warehouse, distribution center and office building locations; unless otherwise noted. For information on how data from acquisitions and divestitures are managed, please see the About This Report section of this report. Exceptions will be noted in the relevant sections in which they occur.

3 For information on how data from acquisitions and divestitures are managed, please see the About This Report section of this report. In the United States, limited data from a subset of Synthes operations are not yet reflected in these numbers. SAFE Fleet data are collected on employees of Johnson & Johnson and its subsidiaries who drive company-owned or leased, and personally owned vehicles for Company business. Employees in the latter category are those who: 1. Drive for Company business as a “regular part” of their job, and 2. Receive a car allowance to purchase their own vehicle, and/or those who are reimbursed for vehicle expenses such as fuel, maintenance, insurance and other miscellaneous charges associated with vehicle upkeep, and/or those who receive a regular mileage allowance.

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